For those who are thinking about going on an
Outer Banks vacations, you had best hurry up and get moving. You know why? Wait . . . Wait . . . Wait for it . . .
Taxes under the house bill are no longer going to be indexed for inflation. You may say so what . . . So let me give you an example.
Now keep in mind that in 1979 a new Mustang cost
$5,000 and today is about $25K. The median income in 1977 was 13,500. This means that people who earned the median income would have paid little to no tax. However, let us say that you were 48K in 1977. Then the good news is that you would be paying about 8000 in taxes.
So today the in median income is 48K. Well if we were using the 1977 tax tables, you will be paying 8K but because of indexing you are paying less then $1000.
The only good thing about not indexing taxes . . . More and more people will pay taxes.